US hedge funds attempting to profit from UK pricing

The UK mutual fund industry was being targeted by US hedge funds aiming to profit from its once-a-da...

The UK mutual fund industry was being targeted by US hedge funds aiming to profit from its once-a-day pricing structure. Alan Burton, chief executive of Standard Life Investments, said he had been approached at least twice within that year by hedge fund managers wanting to arbitrage on the timing of UK unit pricing on international funds. In each case, they attempted to negotiate an institutional rate for entry into the funds but were refused by the group. Threadneedle had also been approached twice with similar proposals, which were also refused. The hedge funds were looking to benefit fro...